Accounting - Specific Questions

Question 1

Tell me about Profit and loss accounts

Answer 1

• shows profit or loss a company has made over a specific period

Question 2

Tell me about Cash flow statements

Answer 2

• show how cash and cash equivalents have changed during a period of time

Question 3

Tell me about Balance sheets

Answer 3

• financial position at a point in time.

Question 4

Tell me about the role of the auditor

Answer 4

• Reviewing any aspect of business (financial or nonfinancial).

Question 5

Tell me about Generally Accepted Accounting Principles

Answer 5

• international

establishing how company accounts must be prepared

Question 6

Companies Act 2006

Answer 6

Main legislation for uk companies

Question 7

IFRS

Answer 7

International financial reporting standards

set of accounting rules for the financial statements of companies

UK companies use UK-adopted international accounting standards when preparing financial statements